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ELCDismissedRuling on Notice of Motion dated 13th December, 2024 (appeal from Milimani CMCC No. 81 of 2020)· [2025] KEELC 3440 (KLR)

Cop-Rink Agencies Limited & another v Kayser Investment Limited (Environment and Land Appeal E216 of 2024) [2025] KEELC 3440 (KLR)

Environment and Land Court
30 April 2025
2,868 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Environment and Land Court refused to pause enforcement of an order releasing Kshs. 4 million because the appellants could not show they would suffer unrecoverable loss.

What this practically means

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Executive summary

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This ruling of the Environment and Land Court determined a notice of motion dated 13th December 2024 in which the appellants sought a stay of execution of the order of 8th September 2021 by Hon. D.O. Mbeja, Principal Magistrate, in Milimani CMCC No. 81 of 2020 (Kayser Investment Limited v Cop-Rink Agencies & Jung Zhang), by which the magistrates' court directed immediate release of Kshs. 4,000,000 held as security. The respondent opposed on three fronts: lack of jurisdiction for want of leave to appeal, defectiveness of affidavits commissioned by Jotham Okome Arwa, and failure to satisfy the conditions in Order 42 Rule 6 of the Civil Procedure Rules, contending the decretal sum exceeded Kshs. 10,000,000. The court framed a single issue: whether the applicants were entitled to stay pending appeal. On jurisdiction, it rejected the objection because the leave question had been determined in ELC MISC No. E204 of 2024, and the court would not sit on appeal over its own decision. The affidavit-defect argument failed for want of evidence, the ruling having appointed Ambrose Rachier, SC as administrator ad litem. On the merits, the court found the application made without delay and the memorandum of appeal arguable, but held that substantial loss was not demonstrated: the appellants did not show the respondent was incapable of refunding the decretal sum if the appeal succeeded. The court declined stay and dismissed the motion, ordering each party to bear its own costs and fixing further mention for 25th June 2025 for directions.

Key legal issues

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01

Jurisdiction to entertain the application given the alleged lack of leave to appeal

Holding

The jurisdictional objection was rejected because it had already been raised and determined in ELC MISC No. E204 of 2024, whose decision remains in force

Reasoning

The respondent argued no automatic right of appeal lay without leave. The court held that this exact issue was raised and dealt with in ELC MISC No. E204 of 2024, where the court allowed the appellants to file a memorandum of appeal. Re-opening that question would amount to the court sitting on appeal over its own decision, which procedure forbids. The decision remains in force and the application was properly founded on it.

p. 4
02

Whether the affidavits sworn before Jotham Okome Arwa were defective

Holding

The contention failed for lack of evidence; the ruling showed Ambrose Rachier, SC, not Jotham Arwa, was appointed administrator ad litem

Reasoning

The respondent alleged the affidavits were defective because they were commissioned by Jotham Okome Arwa, said to be connected with the administration of the late Mr. Wandago Kwach SC's firm. The court found the contention was not clearly or fairly brought out, and that the ruling in fact appointed Mr. Ambrose Rachier, SC as administrator ad litem rather than Mr. Jotham Arwa. There being no evidence of the alleged defects, the argument failed.

p. 4
03

Whether stay of execution pending appeal should be granted

Holding

Stay refused because substantial loss was not demonstrated; the appeal's arguability alone was insufficient

Reasoning

Applying Order 42 Rule 6(2), the court found no undue delay since the application flowed from the court's directions in ELC MISC No. E204 of 2024. On substantial loss, the appellants' fears centred on sums deposited in court, but they failed to show the respondent was incapable of satisfying the decree if the appeal succeeded. Although the memorandum of appeal raised arguable issues, without proof of substantial loss that could not be recovered, stay could not issue.

p. 6

Legal principles established

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  • Stay of execution pending appeal requires demonstration of substantial loss, that the application was made without unreasonable delay, and security for the due performance of the decree
  • In deciding whether to grant stay, the court must weigh the rights of the aggrieved party to appeal against the right of the decree holder to the fruits of the judgment
  • A court will not sit on appeal over its own prior decision on jurisdiction which remains in force

Court orders

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  1. 1.The notice of motion dated 13th December, 2024 is dismissed
  2. 2.Each party to bear its own costs
  3. 3.Further mention on 25th June, 2025 for directions in regard to the appeal

Authorities

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Legislation

  • Constitution of KenyaArticle 159(2)
  • Civil Procedure ActSections 1A, 1B, 3A
  • Civil Procedure ActSection 63(e)
  • Civil Procedure ActSection 75(1)(h)
  • Civil Procedure RulesOrder 42 Rule 6
  • Civil Procedure RulesOrder 42 Rule 6(2)(b)
  • Civil Procedure RulesOrder 43 Rule 1
  • Civil Procedure RulesOrder 51 Rule 1
  • Oaths and Statutory Declarations ActSection 4(1)

Cases cited (12)

  • John Florence Maritime Services Limited & Another v Cabinet Secretary Transport & Infrastructure & 3 Others
    (Petition 17 of 2015) [2021] KESC 39 (KLR) (Civ)
  • Mwangi v Gitutu & Anor
    [2024] KEHC 2734 (KLR)
  • Tropical Commodities Suppliers Ltd & Others v International Credit Bank Ltd (in liquidation)
    [2004] 2 EA 331
  • Vishva Stone Suppliers Company Ltd v RSR Stone (2006) Limited
    [2020] eKLR
  • Gianfranco Manenthi & Another v Africa Merchant Assurance Co. Ltd
    [2019] eKLR
  • Stanley Kangethe Kinyanjui v Tony Ketter & Ors
    [2013] eKLR
  • Mbaya v Kamau & another
    (Civil Appeal E012 of 2023) [2023] KEHC 24945
  • Mohamed v Judicial Service Commission
    (Cause E645 of 2022) [2023] KEELRC 2983 (KLR)
  • Mary Gathoni & another v Frida Ariti Otolo & another
    [2020] eKLR
  • Masisi Mwita v Damaris Wanjiku Njeri
    [2016] eKLR
  • Vishram Rouji Halal v Thornton & Turpin
    Civil Appeal No. 15 of 1990, [1990] KLR 365
  • Hassan Guyo Wakolo v Straman E.A. Ltd
    [2013]
On appeal from
Chief Magistrates' Court, Milimani
CMCC No. 81 of 2020
Jurisdiction invoked
Order 42 Rule 6 and Order 51 Rule 1 of the Civil Procedure Rules; Sections 1A, 1B, 3A and 63(e) of the Civil Procedure Act; Article 159(2) of the Constitution

Key timeline

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Practical implications

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Frequently asked questions

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Cite this brief

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Cite this brief

Caselaw, "Cop-Rink Agencies Limited & another v Kayser Investment Limited (Environment and Land Appeal E216 of 2024) [2025] KEELC 3440 (KLR)", Case Analysis (2025). Ruling on Notice of Motion dated 13th December, 2024 (appeal from Milimani CMCC No. 81 of 2020). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2025/3440/eng@2025-04-30

Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.